How Trump's tariffs are snarling supply chains
https://thehill.com/business/domestic-taxes/5267850-us-china-tariff-disruptions/
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Disruption from tariffs is occurring at multiple points in commercial supply lines from factory floors in East Asia, through the shipping and transportation industry, at U.S. ports of entry, and by U.S. retailers who are warning of empty shelves.
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Several large Chinese multinationals we work with are actively repositioning. In some cases, theyre even deprioritizing the U.S. market in favor of more globally stable strategies. Tariff uncertainty and regulatory unpredictability are
shaping sourcing decisions at the highest levels, he said.
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To manage their inventories, companies are also making use of bonded warehouses, in which their imports can be stored without having to pay tariffs until theyre released to retailers or re-exported. Bonded facilities are being used in the hopes that Washington and Beijing strike a deal to bring down the 145-percent U.S. tariff on Chinese imports, logistics experts say.
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The heads of U.S. mega-retailers Walmart, Home Depot and Target met with President Trump this week, where they warned about empty shelves.
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